This is Entrepreneurs of Faith, a Sunday episode of Monetization Nation. I’m Nathan Gwilliam, your host. In today’s episode, we’re going to talk about patriotism through entrepreneurship.
Publix in the Great Depression
During the Great Depression, there was a 22-year-old man named George Jenkins. Jenkins was the manager of a Florida Piggly Wiggly, but he quit his job and started his own grocery store chain next door. The store not only survived, but it has grown to be a 1000-store chain today that is known as Publix.
President Ronald Reagan said, “Entrepreneurs and their small enterprises are responsible for almost all the economic growth in the United States.” That’s a little bit of an exaggeration, but America’s 31 million small businesses generate nearly half of all US economic activity. The nominal GDP (gross domestic product) of American small businesses comes out to roughly $6 trillion—more than the entire GDP of Japan, the world’s third largest economy (Source: Independent.org).
Jenkins created economic growth during the Great Depression by starting his own store. He created new jobs and because of that, Publix employs more than 200,000 people today. He helped America through economic hard times by creating jobs and made America much better for many people. That is patriotism through entrepreneurship.
Serving Our Country through Entrepreneurship
President John F. Kennedy said, “Ask not what your country can do for you, ask what you can do for your country.”
Instead of looking to our country for a handout, we can look for what we can do to help build and grow our countries, whatever country we may be in. We can grow our countries through the patriotism of entrepreneurship.
Hubert Humphrey said, “What we need are critical lovers of America—patriots who express their faith in their country by working to improve it.”
This same principle applies to whatever country we live in. We can improve our countries and the lives of people in our countries through entrepreneurship.
Statistics on Entrepreneurship and the Economy
Here are a few stats that help make this point really well. According to the Small Business Administration, small companies in America create 1.5 million jobs annually and account for 64% of new jobs created in the US (2019).
Imagine that! Small businesses are responsible for 64% of all new jobs created. A 2019 report found that small businesses accounted for 44% of US economic activity. Despite COVID-19 and one of the worst economic downturns in modern history, startup business activity grew in the United States—business startups grew from 3.5 million in 2019 to 4.4 million in 2020, a 24 percent increase during a pandemic.
Research suggests that it’s new businesses that create jobs in America (Haltiwanger et al. 2013). Studying the patterns and startup activity is an indicator of future employment growth. A small business starts up and provides jobs as a startup, but as the company grows, in the future it may create tens of thousands of jobs for Americans.
Grow the Economy, Generate Taxes, and Create Jobs
Entrepreneurs and their startup businesses help to keep our American economy running during times of crisis. By becoming entrepreneurs, we show our patriotism for our country. When times get tough and large companies have to layoff employees, the difference tends to be made up by the small businesses who are creating and adding new jobs to the economy.
America provides a very favorable environment for entrepreneurship, possibly the best in the world. I’ve helped create ventures in other countries, and it has been much more difficult in those environments.
For example, I’ve helped create several ventures in Brazil. Brazil has close to a 100% tax on employee wages. So, if I were paying an employee $5,000 a month in Brazil for their salary, I would also have to pay approximately $5,000 of taxes for that employee. It is much more difficult to create businesses in that type of environment.
However, I’m not saying we shouldn’t pay taxes. I am a supporter of paying taxes, but they need to be done in a way that still allows entrepreneurship to fuel the economy.
Mark Cuban said, “Get out there and make a boatload of money. . . . Pay your taxes. It’s the most Patriotic thing you can do.” Entrepreneurs are patriots because they pay taxes, and those taxes help fuel the economy and pay for government activity.
Entrepreneurs help create jobs. Liberty Capital Group said, “We must remember that our roles as business owners provide us with a unique opportunity to make a patriotic contribution to our country, its economy. Business owners have the opportunity to create jobs and to help fuel a stalled economy.”
Hyatt in a Recession
There are many companies that are great examples of starting during tough times, during recessions, or even the Great Depression as Publix did. Hyatt started during a recession.
Two months into the recession of 1958, entrepreneur Jay Pritzker purchased the Hyatt House, a motel near the Los Angeles International Airport. Even with business activity and travel slowing during the tough economic times, Pritzker continued to push on. He even opened up two additional hotels before the end of the decade. Eventually, his collection would grow to more than 900 Hyatt properties, and Hyatt’s annual revenue exceeded $5 billion (Source: Medium). As we create businesses, we create jobs that drive the economy.
President Barack Obama said, “Small businesses have always been an integral part of the U.S.’s economy and growth.”
In summary, entrepreneurship shows our patriotism. Entrepreneurs take the risk necessary to fuel the economic growth of America. Entrepreneurs generate taxes that help pay for the government, and entrepreneurs create jobs that help provide for many families and generate more taxes for the government. Creating businesses as entrepreneurs is a very effective way to show our patriotism and help improve our country.
Here are some of my key takeaways from this episode:
- 1. We can grow our countries through the patriotism of entrepreneurship.
- 2. When times get tough and large companies have to layoff employees, the difference tends to be made up by the small businesses who are creating and adding new jobs to the economy.
- 3. Entrepreneurs take the risk necessary to fuel the economic growth of America.
- 4. Entrepreneurs are patriots because they pay taxes, and those taxes help fuel the economy and pay for government activity.
- 5. Business owners have the opportunity to create jobs and to help fuel a stalled economy. These jobs help provide for many families and generate more taxes for the government.
- 1. Get a free ebook about passion marketing, and learn how to become a top priority of your ideal customers at PassionMarketing.com.
- 2. Subscribe to Monetization Nation on YouTube, Instagram, Twitter, our Facebook Group, and on your favorite podcast platform.